DR Scott's conceptual framework

1

The Accounting Historians Journal
Vol. 20, No. 2
December 1993
Carol Lawrence
and
Jenice P. Stewart
UNIVERSITY OF MISSOURI - COLUMBIA
DR SCOTT'S CONCEPTUAL
FRAMEWORK
Abstract: The objective of this study is to trace the influence of DR1
Scott's writings on the development of accounting theory and stan­dard
setting. Scott's deductive approach to the development of a con­ceptual
framework for financial accounting and reporting was
adopted by accountants on a piecemeal basis from the 1930s to the
1970s. This study traces authoritative pronouncements from the
1930s to provide evidence on Scott's forward looking ability and the
influence of his ideas on the subsequent development of accounting
theory. The social, economic, and political environment of the 1930s
is described to show why a change in accounting standard setting
was needed. The authors show that Scott envisioned the function of
accounting as extending beyond mere recordkeeping, to include con­trol
of organizations relative to their cultural environment. Further,
Scott's broad educational background is presented to show the
breadth of Scott's ability to see accounting issues beyond bookkeep­ing
issues. The findings show that Scott [1941] was among the first to
develop a theoretical, deductive, normative framework to serve as the
basis for accounting principles.
"If we are going to be able to look ahead with assurance, we
must be able to look back with accuracy" [DR Scott, 1931, p.
140].
The purpose of this study is to examine the role of DR1
Scott as a catalyst in the development of a conceptual frame­work
for accounting. Although accountants are often criticized
as being overly conservative and defensive of the status quo,
Scott was very perceptive and willing to adapt to his environ­ment.
Scott contributed to the development of accounting
theory through his early recognition of several concepts not
1Scott had no given name. His parents named him DR, using the initials
from his father's name, David Roland Scott. Scott used the two initials with no
spacing or punctuation [Kvam, et al., 1964].